Main Reason Why Entrepreneurs Experience Daily Stress

What Is The Main Reason Why Entrepreneurs Experience Daily Stress?

Elena Hudgens
By Elena Hudgens 7 Min Read

Entrepreneurship has been on the rise for a few years now. In 2018, there were over 15.5 million new entrepreneurs across the country. That’s a 10% increase from 2017 and a 50% increase from 2008! So what is the main reason why entrepreneurship experience daily stress? Entrepreneurship is a difficult and risky profession. Entrepreneurs face extreme stress every day. There are many reasons for this, but we can narrow them down to two major stresses: operational and personal.


The Difficulty of Entrepreneurship

It takes a lot of hard work to run a successful business. From front office to the back office, there are many things that have to be done to make the business successful. And since no two businesses are exactly the same, the strategy and tactics that are necessary for an entrepreneur’s business will be different from one entrepreneur to another. Running a business also comes with a lot of uncertainty. There are things that have to be kept in mind such as customer feedback, new products that are coming out, and even running out of money. All of these factors and more can make operating a business stressful. For entrepreneurs who work in the healthcare industry, many of the things mentioned above can make their lives pretty difficult.

Stressful Personal Environment

There are many things entrepreneurs have to worry about. They need to worry about the risks involved in starting a business, managing finances, hiring employees, and employees, communicating with their clients and prospective clients, and tackling everything else that comes with the daily grind. Entrepreneurs tend to be perfectionists. This leads to stress if things are not done perfectly, or if the entrepreneur is not able to meet deadlines. Other factors include the pressure of the competition, the need to do something that the competition isn’t, and a huge lack of self-confidence. Not only does an entrepreneur have to worry about their own side projects but also their employees.

Stressful Operational Environment

Operational stress happens during day to day operations. Entrepreneurs are responsible for their own payroll, which is difficult for some. Either entrepreneurs are short staffed or run out of money. Even worse, entrepreneurs must deal with employees that have different visions for the business. This is when both personal and operational stress happen. It’s often difficult to manage staff or employees in a different way. On the other hand, the owner doesn’t necessarily have a choice. However, it’s not a small task. It requires balancing a business with an employee relationship. Personal Stress Entrepreneurs also feel stress about their personal life, such as financial problems, marital problems, child raising, etc. And this can be themain reason why entrepreneurs experience daily stress.

Financial Stresses

There are many low cost, high benefit ways to start a business, but you must understand the bottom line. No business is successful without a guaranteed cash flow. An operational or cash flow-based stress is associated with both human resource and financial stressors. Having a personal emergency makes daily stress even more difficult. Another major stressor is government regulations and the tax burden that many small businesses face. Operational Stress While it’s true that entrepreneurship is on the rise, it isn’t without its problems. The daily reality for entrepreneurs is running their business, sometimes from scratch, and it’s a very complicated environment. It takes a tremendous amount of self-discipline and time to build a successful business.

Money Problems

In the United States, 50% of all small businesses fail in the first year. In the third quarter of 2017, the number of small businesses in the United States rose to 3.3 million, with more than 3 million under five years old. When starting a business, an entrepreneur often goes into debt and stays in debt for the first three to five years. To make matters worse, 75% of entrepreneurs are female, with 78% having never worked in a professional environment before starting their business. That’s a huge change for entrepreneurs. Personal Issues The personal issues that can cause stress and pain for entrepreneurs are too numerous to list. Many entrepreneurs are extremely controlling and don’t want to give up the financial security they’ve built for themselves in the corporate world.

Financial Hardships

Unless your business is extremely successful, it is highly likely that you will have a hard time making ends meet. A daily stressor for many entrepreneurs is the need to constantly make money. Entrepreneurship is a daily struggle to stay afloat. You have to constantly keep up with financial reports and make sure your cash flow is in order. A daily stressor for many is the need to constantly monitor and track your cash flow. After all, every day is a test of your ability to work, make money, and ultimately grow your business. Managing your cash flow can be very difficult if you don’t have the right resources to help you keep track of your business’s finances. It’s a constant stressor, but it’s also one that is a necessary part of the job.


Establishing and growing your startup is difficult. Entrepreneurs who are stressed are not good at what they do and will most likely fail and that is the main reason why entrepreneurs experience daily stress. You can learn more here.

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Posted by Elena Hudgens
Elena Hudgens is an entrepreneur with 10+ years of experience. She started her journey by building her own e-commerce website on Shopify and turned her $1000 savings to millions in just 2 years. Soon she started different ventures in which she failed and succeeded. And now, she's on a mission to help other entrepreneurs with her life and business lessons.

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